Reliance Retail a subsidiary of Reliance Industries Limited has bought 16 percent stake in US-based KaiOS Technologies Inc (KTI) for cash aggregating to $7 million.
"The aforesaid investment has potential synergies with RRL's current investments in affordable digital devices business and also with the digital services initiatives of RIL and its subsidiaries," the company said in the statement.
Reliance Retail is into the retail business and operates a chain of neighborhood stores, supermarkets, wholesale cash and carry stores and specialty stores.
KTI is an emerging mobile operating system technology provider incorporated in the State of Delaware, USA.
KTI's flagship product 'KaiOS' originates from the Firefox open-source project. KaiOS combines the capabilities of a smartphone with the affordability of a basic handset.
KaiOS's web-based operating system enables a new category of digital devices (mobile and other IoT devices) that requires limited memory.
KTI is an early stage revenue company, with a turnover of $ 9.25 million and $ 2.5 million in CY 2017 and CY 2016 respectively.
To recall, KaiOS has announced several new partnerships with the biggest names in mobile, social media, and telecommunications technology.
These partnerships come on the heels of a recent spike in demand for feature phones. According to IDC, the global market for feature phones will be 500 million annually for the next five years.